Erstwhile mobile phone giant is restructuring itself to stay afloat.
Finnish publication YLE reports that Nokia’s last mobile phone factory in the country has stopped producing handsets. The factory at Salo in Western Finland will formally be closed in September. It is estimated that some 780 people will lose their jobs.
The move is not unexpected. Nokia is also cutting jobs in Mexico and Hungry, all in a bid to shift production to Asia. In February it announced, ‘Shifting device assembly to Asia is targeted at improving our time to market. By working more closely with our suppliers, we believe that we will be able to introduce innovations into the market more quickly and ultimately be more competitive [...] We recognize the planned changes are difficult for our employees and we are committed to supporting our personnel and their local communities during the transition’.
It is the end of an era for the one-time industry leader which has reported huge losses in the last few quarters and is doing everything it can to stay relevant. Nokia’s restructuring plans will result in the cutting of 10000 jobs globally.